Posted by Barbara on September 10, 2007 at 10:11:10:
I would like to thank all of you for your time in answering my question and making it plain.
I have been studying the archives, as well as reading the message boards, for a little over a year now. At first, I was nervous to actually get started but I am tired of my dead end job so I started getting moving. I tried starting off as a wholesaler and I had been making contacts, going to the courthouse, etc. but I seem to be hitting a lot of dead end streets. I am moving forward though. This is why I thought I would be a bird dog at first, getting alittle more knowledge about wholesailing. I’ve been to one investor’s meeting in my area so far, so I’ll continue doing my thing, getting educated. I’ve also been looking for financing and getting this lined up in the event I need to close on anything.
Again, thanks for the informaion on each board and soon I’ll be sharing answers to others questions!
Posted by Barbara on September 10, 2007 at 05:59:33:
Good morning everyone,
I have been searching the archives on the difference between the two and haven’t found the answer. Could someone please give me the unique difference between the two?
I really want to start wholesailing but, I think I’ll start looking for houses, etc. and turning them over to other investors first.
Re: Birdogging vs wholesailing? - Posted by Brad Crouch
Posted by Brad Crouch on September 14, 2007 at 13:32:52:
Barbara,
As a bird-dog you only need to find the deals. There is no money out of your pocket, and no commitment to buy the property in question. If you cannot find a buyer, you have no obligation at all.
As a wholesaler, you have to get a contract on the property, and then “flip” the contract (property). Usually to another investor who may also be a rehabber.
Care must be taken to make the property attractive to another investor/rehabber. That means that the lion’s share of the profits need to be left on the table if you want this to be a successful and fast “flip”.
The act of getting the property under some kind of contract usually implies that you are legally liable in some way. You may hear some folks say that through the use of “weasel clauses”, you can not be forced to perform on a contract. However, this course of action may not be the greatest thing for your reputation, and I am assuming that you wish to remain in this business for the long haul. Also bear in mind that not all sellers are stupid.
Bird-dogging is usually for folks without sufficient funds or access to funds or contacts to make such a commitment.
You might be better off to start out as a bird-dogger until you accumulate the funds to stay in the middle of a deal. Then as your cash and experience grows, turn your attention to wholesaling.
Re: Birdogging vs wholesailing? - Posted by Equityresq
Posted by Equityresq on September 10, 2007 at 09:40:33:
Birdogging - For Extreme newbies. Do the least work - are paid the least as well. These individuals simply offer leads to investors. They usually don’t do any negotiating, and they don’t have the property under contract. They are in a very weak position because they have 0 control over the property.
Wholesalers - Get the property under contract (have control)and assign or double close the property to another investor for a profit. The negative is that you are responsible for ensuring that this property closes without any hitches. A bit more work is involved, but you are rewarded handsomely for your time.
Basically, you want to be a wholesaler, and not a bird dog…
Re: Birdogging vs wholesailing? - Posted by IB (NJ)
Posted by IB (NJ) on September 10, 2007 at 09:19:38:
TO ME (IMO) - Birddogging (BD) is usually referred to someone who finds properties that are owned by sellers who are interested in selling. However the BD hasn’t negotiated the price and terms. They only find people who are interested in selling and then bring the investor in to seal the deal.
The wholesaler is usually more knowledgeable and experienced than the BD. He/She negotiates with the seller, seals the deal, fixes any title prooblems, brings in the rehabber and makes sure all parties (incl. the BD if applicable) reach the closing table and leave with checks.
I wholesale and rehab. I got an appointment tonight to talk to a seller that a BD contacted and determined there was an interest to sell. However, price and terms were not discussed. That’s my job. I’ll then get it under contract and bring in the rehabber to flip to.
Posted by James on September 10, 2007 at 06:21:09:
Barbra,
To me, they are almost the same thing. Almost.
I can’t come up w/ a differnce though…so, maybe they are the same thing.
Birdogs find the properties for you to buy (and don’t get in the middle (usually)).
Wholesalers buy the property and sell to you/assign (and they do everything BDers do too).
Both do the same thing though.
